With nearly 100 retirement plan provisions, the SECURE 2.0 Act of 2022 is teeming with beneficial items for U.S. workers and employers. Although it may be relatively easy for Congress to pass new laws creating retirement savings opportunities, implementing many of these new components may involve much more work than lawmakers could have anticipated.
Many changes are fairly easy to figure out. For example, the 50% penalty tax for missed required minimum distributions (RMDs) has been cut in half (or to 10% if the failure is corrected in a timely manner). The 50% tax credit for plan startup costs has been doubled for employers with 50 or fewer employees, and the RMD age has been raised to age 73.
